Gold has always been a haven both for investors and borrowers. Even in recent times, gold loans are becoming increasingly popular for those seeking quick financial assistance. They allow borrowers to leverage their gold jewellery to secure funds without the need for extensive complicated documentation or a perfect credit score. Moreover, gold loan interest rates are generally lower than unsecured loans, making them a cost-effective borrowing option. Understanding the various benefits of a gold loan is essential, if an individual is planning on availing one. This can significantly improve one’s overall borrowing experience.
Bajaj Finance Gold Loan
All about the gold loan
A gold loan is a secured loan where individuals can pledge their 18-22 karat gold jewellery as collateral to obtain funds. This type of loan offers numerous benefits, including:
Quick processing
Gold loans are typically processed much faster than traditional loans, with many lenders offering instant approvals. This rapid turnaround can be a lifesaver for those facing unexpected expenses.
Higher loan amounts
Borrowers can receive loans based on the value of the gold pledged, often up to 75% of its market value. This flexibility allows individuals to secure the exact amount they need without overcommitting.
No need for perfect credit score
Since gold acts as collateral, lenders are more lenient regarding the borrowers credit history. This makes gold loans an attractive option for those who may struggle to secure other types of financing due to a lower CIBIL score.
Reasons to choose Bajaj Finserv Gold Loan
There are multiple lenders in the market that one can choose from. However, here are some reasons that make Bajaj Finance a preferable choice for many borrowers:
Quick loan processing
Bajaj Finance processes gold loans quickly, allowing borrowers to get the funds they need without delays. This is particularly helpful when funding immediate expenses, such as medical bills or urgent repairs.
Minimal documentation
Borrowers can secure a substantial loan amount by submitting their basic KYC documents like Aadhaar card, Voter ID, driving licence, passport, letter from NPR or NREGA job card.
High loan amount
One can get a loan starting from â¹5,000 to â¹2 crore, depending on the value of the gold pledged, gold loan interest rate, and the borrowers liquidity requirements. This makes it possible for individuals to meet their financial needs, whether big or small.
Convenient repayment options
With multiple repayment plans, borrowers can choose a schedule that suits their financial situation, making it easier to manage repayments. This flexibility ensures that borrowers can stay on top of their finances without feeling overwhelmed.
Zero part-prepayment fee
Bajaj Finance does not levy any part-prepayment fees, allowing borrowers to save on unnecessary administrative costs when they clear their loans early. This feature is especially beneficial for those who might receive windfalls or bonuses and wish to reduce their debt.
Complimentary insurance on gold assets
When opting for a loan with Bajaj Finance, pledging gold is insured for free, providing added peace of mind. This safeguard ensures that borrowers do not have to worry about the security of their valuable assets while they are being used as collateral.
Steps to apply for a Bajaj Finserv Gold Loan
Applying for a gold loan with Bajaj Finance is pretty simple. Here’s how one can apply:
Visit the Bajaj Finserv Gold Loan website and click on ‘Apply’ to access the application form.
Enter the 10-digit mobile number and select ‘Get OTP.’
Enter the OTP to verify identity.
Choose the state and city to locate the nearest Bajaj Finance branch.
Provide personal details like name and date of birth as per the PAN.
Schedule an appointment at the Bajaj Finance branch.
After completing these steps, a Bajaj Finance representative will call to confirm the appointment and guide the borrower through the next steps.
Conclusion
A gold loan is a smart way of leveraging one’s idle gold jewellery for liquid funds. This is especially useful in times of emergencies. And with trusted lenders like Bajaj Finance, borrowers can now get access to funds at competitive interest rates at very convenient terms. With a faster turnaround time and online application system, anyone can apply for a loan at any time of the day!
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About Bajaj Finance Limited
Bajaj Finance Ltd. (‘BFL’, ‘Bajaj Finance’, or ‘the Company’), a subsidiary of Bajaj Finserv Ltd., is a deposit taking Non-Banking Financial Company (NBFC-D) registered with the Reserve Bank of India (RBI) and is classified as an NBFC-Investment and Credit Company (NBFC-ICC). BFL is engaged in the business of lending and acceptance of deposits. It has a diversified lending portfolio across retail, SMEs, and commercial customers with significant presence in both urban and rural India. It accepts public and corporate deposits and offers a variety of financial services products to its customers. BFL, a thirty-five-year-old enterprise, has now become a leading player in the NBFC sector in India and on a consolidated basis, it has a franchise of 80.41 million customers. Bajaj Finance has a credit rating of AAA/Stable for its Fixed Deposit program from CRISIL and ICRA, AAA/Stable for long-term borrowing from CRISIL, India Ratings, CARE and ICRA, and A1+ for short-term borrowing from CRISIL, India Ratings and ICRA. It has a long-term issuer credit rating of BBB-/Stable and a short-term rating of A-3 by S&P Global ratings.
To know more, visit www.bajajfinserv.in.
